LOI Diamante Au-Ag Concessions

BEDFORD, NS - Silver Spruce Resources, Inc. reported the signing of a Letter of Intent with Colibri Resource Corp. to acquire up to 50% interest in four concessions comprising two properties, Diamante 1 and Diamante 2, with a cumulative land position of 1,057 hectares. The Diamante gold-silver (Au-Ag) project is a drill-ready precious metal property located 5 km northwest of the town of Tepoca, and 165 km southeast of the capital city of Hermosillo, eastern Sonora, Mexico. Diamante 1 is situated to the west of Silver Spruce's 180-ha El Mezquite project. Diamante 2, 700 meters south of Diamante 1, is located 1.6 kilometers northwest of the Company's 1,130-ha Jackie project.

"We are excited to acquire an interest in a large property with the outstanding potential of Diamante adjacent to our prospective El Mezquite and Jackie projects," said Greg Davison, Silver Spruce VP Exploration and Director. "At Diamante, historical high-grade Au-Ag and Pb-Zn-Cu assay data from small-scale workings and dumps, and recent exploration activities, provide an excellent starting point for discoveries in several diverse geological settings. Diamante offers strong precious metal tenor with a polymetallic endowment similar to the Company's Pino de Plata project, and both contain multiple quality targets, limited artisanal mining with production, and no record of drilling."

Diamante has been explored to a modest degree by modern exploration methods and there is significant evidence of historical hand surface and underground mining, and placer activities in stream channels and terraces on the project though no records of historical production or drilling are known.

"We recently conducted our due diligence visit to Diamante and, pending the final report, anticipate signing a definitive agreement shortly. On execution, we propose to conduct ground truthing of the Au-Ag systems with geological, spectral and LiDAR mapping, rock sampling and preparation of an environmental report, and are planning for a first-ever drilling program at Diamante within a few months. This provides the Company with another exceptional opportunity to grow with the strong gold and silver markets," stated Mr. Davison. "The earn-in would require Silver Spruce to conduct an initial 2,000 meter diamond drill program to test first priority targets defined by the Phase 1 exploration program."